Welcome back! In today’s commercial real estate news: Trump’s anti-regulatory stance encourages developers, construction firms brace for an influx of infrastructure projects, and the apartment sector begins to cool.
Developers are optimistic President-elect Trump will slash environmental regulations when he takes office this week. Homeownership is currently at a historic low, a fact many developers blame on the costs associated with meeting regulations. Despite this, nearly two-thirds of Americans say the laws are worth the price.
Nearly 75% of construction firms plan to hire on more employees in 2017, according to a survey released last week by developer firms. The optimistic outlook is founded on the hope Trump will make his campaign promises a reality by investing billions in American infrastructure.
After years of growth, the apartment sector may finally reach a plateau in 2017. Rising construction costs, a lack of desirable spaces and a labor shortage are all factors contributing to the cooling off.